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Text: HF02074                           Text: HF02076
Text: HF02000 - HF02099                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index

House File 2075

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 450.2, Code 1995, is amended by adding
  1  2 the following new unnumbered paragraph:
  1  3    NEW UNNUMBERED PARAGRAPH.  Estates of decedents dying on or
  1  4 after July 1, 1996, are not subject to the tax under this
  1  5 chapter.
  1  6    Sec. 2.  Section 450.4, Code 1995, is amended by adding the
  1  7 following new subsection:
  1  8    NEW SUBSECTION.  7.  Any property of an estate of a person
  1  9 dying on or after July 1, 1996.
  1 10    Sec. 3.  NEW SECTION.  450B.8  NONAPPLICABILITY OF CHAPTER.
  1 11    This chapter shall not apply to property of estates of de-
  1 12 cedents dying on or after July 1, 1996.
  1 13    Sec. 4.  Section 453A.43, subsection 1, unnumbered
  1 14 paragraph 1, Code 1995, is amended to read as follows:
  1 15    A tax is imposed upon all tobacco products in this state
  1 16 and upon any person engaged in business as a distributor of
  1 17 tobacco products, at the rate of twenty-two forty-four percent
  1 18 of the wholesale sales price of the tobacco products, except
  1 19 little cigars as defined in section 453A.42.  Little cigars
  1 20 shall be subject to the same rate of tax imposed upon
  1 21 cigarettes in section 453A.6, payable at the time and in the
  1 22 manner provided in section 453A.6; and stamps shall be affixed
  1 23 as provided in division I of this chapter.  The tax on tobacco
  1 24 products, excluding little cigars, shall be imposed at the
  1 25 time the distributor does any of the following:
  1 26    Sec. 5.  Section 453A.43, subsection 2, unnumbered
  1 27 paragraph 1, Code 1995, is amended to read as follows:
  1 28    A tax is imposed upon the use or storage by consumers of
  1 29 tobacco products in this state, and upon the consumers, at the
  1 30 rate of twenty-two forty-four percent of the cost of the
  1 31 tobacco products.  
  1 32                           EXPLANATION
  1 33    Depending on the circumstances, present law has four death-
  1 34 related state taxes.  These are the inheritance tax, chapter
  1 35 450; the generation skipping transfer tax, chapter 450A; the
  2  1 qualified use inheritance tax, chapter 450B; and the Iowa
  2  2 estate tax, chapter 451.  This bill eliminates for estates of
  2  3 decedents dying on or after July 1, 1996, the taxes under
  2  4 chapters 450 and 450B.  The other two taxes are retained
  2  5 because these taxes are only imposed to the extent that the
  2  6 federal law allows credits against the federal taxes for the
  2  7 amounts paid the state.
  2  8    The bill also increases the tobacco products tax rate from
  2  9 22 to 44 percent of the wholesale sales price of tobacco
  2 10 products.  This tax is not imposed on cigarettes and little
  2 11 cigars.  
  2 12 LSB 3455YH 76
  2 13 mg/jw/5
     
Text: HF02074                           Text: HF02076
Text: HF02000 - HF02099                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index
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